Bitcoin Price Hints at Downside: Preparing for Potential Declines

19 July 2024

Bitcoin price corrected gained from the $66,000 resistance level. BTC dipped below $64,000 and might extend losses in the short term.

Bitcoin started a fresh downside correction from the $66,000 resistance zone.
The price is trading below $64,500 and the 100 hourly Simple moving average.
There was a break below a key bullish trend line with support at $64,500 on the hourly chart of the BTC/USD pair (data feed from Kraken).
The pair might gain bearish momentum if it dives below the $62,500 support zone.

Bitcoin Price Dips Again, Can Bulls Defend More Losses?

Bitcoin price failed to extend gains above the $65,500 and $66,000 resistance levels. BTC started a downside correction and traded below the $65,000 level.

There was a break below a key bullish trend line with support at $64,500 on the hourly chart of the BTC/USD pair. The bears pushed the price below the $64,000 level. A low is formed at $63,225 and the price is consolidating losses.

It is testing the 23.6% Fib retracement level of recent decline from the $66,026 swing high to the $63,225 low. Bitcoin price is now trading below $64,500 and the 100 hourly Simple moving average. If there is a fresh increase, the price could face resistance near the $64,000 level.

The first key resistance is near the $64,650 level. It is near the 50% Fib retracement level of recent decline from the $66,026 swing high to the $63,225 low. A clear move above the $64,650 resistance might spark another increase in the coming sessions.

The next key resistance could be $65,500. The next major hurdle sits at $66,000. A close above the $66,000 resistance might push the price further higher. In the stated case, the price could rise and test the $67,200 resistance.

More Downsides In BTC?

If Bitcoin fails to climb above the $64,650 resistance zone, it could continue to move down. Immediate support on the downside is near the $63,250 level.

The first major support is $63,000. The next support is now near $62,500. Any more losses might send the price toward the $60,500 support zone in the near term.

Technical indicators:

Hourly MACD – The MACD is now gaining pace in the bearish zone.

Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now below the 50 level.

Major Support Levels – $63,225, followed by $63,000.

Major Resistance Levels – $64,650, and $65,500.

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